Gildan Activewear shares fell over 18% on June 16, 2026, wiping out $2.15 billion in market capitalization, after Jehoshaphat Research published a forensic report accusing the company of improper channel stuffing and revenue recognition. The report, based on interviews with former employees, customers, and distributors, alleges Gildan offered incentives such as extreme payment terms and rebates to compel customers to pull forward sales at quarter-ends, and provided product without requiring payment until after resale. National shareholder rights firm Hagens Berman has opened an investigation into whether the allegations are accurate and whether Gildan may have violated federal securities laws, and is encouraging investors who purchased shares on the NYSE and suffered substantial losses to come forward.
Gildan Activewear Inc.Forensic report alleges improper channel stuffing and revenue recognition, triggering investigation for securities law violations.